Energy Efficiency Services is the largest segment driving the growth of Decarbonization Service Market

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Market Overview:
Decarbonization services help organizations reduce their carbon footprint by optimizing energy usage and shifting to cleaner sources of energy like renewable energy. This includes energy audits, retrofitting, renewable energy consulting and carbon offset programs. These services play a vital role in achieving sustainability targets of corporates and governments.

 

The global Decarbonization Service Market is estimated to be valued at US$ 69.73 Bn in 2023 and is expected to exhibit a CAGR of 12% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the key trends in the decarbonization service market is the rising demand for zero carbon advisory services. With increasing focus on reducing emissions, many large organizations are adopting net zero targets and are investing heavily in green technologies and carbon offset programs. They are seeking expert advisory services to assess their carbon footprint, prepare decarbonization roadmaps and identify projects to achieve mid-term and long-term emission reduction goals. This is expected to drive significant growth in the market for zero carbon advisory and consulting services over the forecast period.

SWOT Analysis
Strength: Decarbonization services help companies and organizations reduce their carbon emissions and transition to more sustainable business models in a cost-effective manner. They provide expertise in carbon accounting and reporting.
Weakness: Transitioning to decarbonization requires large up-front investments. It also requires changes to existing infrastructure and processes which can be challenging.
Opportunity: Increasing government regulations and policies related to climate change and net-zero emissions targets are driving more demand for decarbonization services. Companies want to demonstrate their sustainability commitments.
Threats: Alternatives like in-house decarbonization teams can pose competition. Economic slowdowns may reduce budgets for sustainability initiatives.

Key Takeaways
The global decarbonization service market is expected to witness high growth, exhibiting CAGR of 12% over the forecast period, due to increasing focus on reducing carbon emissions and transitioning to green energy.

Regional analysis: North America dominated the decarbonization service market in 2023 and is expected to continue its dominance over the forecast period due to stringent climate policies in the US and Canada. Asia Pacific is expected to grow at the fastest pace due to growing decarbonization needs of industrial and energy sectors in major economies like China and India.

Key players operating in the decarbonization service market include Schneider Electric, ENGIE, Siemens, AECOM, EDF, Johnson Controls, DNV, Honeywell International Inc., Carbon Clean Solutions Limited, The ERM International Group Limited, CarbonCure Technologies Inc., Ørsted A/S, and ABB. They provide customized solutions tailored to clients’ decarbonization requirements and sectors.

*Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it
Ravina
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Ravina Pandya,  Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. With an MBA in E-commerce, she has an expertise in SEO-optimized content that resonates with industry professionals.